Insurance Agent Forum

[marcircus]

Hello,

Is there an average period of time one should expect to elapse from application of a life insurance policy to receiving it?

I submitted applications. The insurance company cashed the check on January 5. Therefore, they have had the applications since at least January 4. Here we are on the 23rd, 19 days later, and have not received a policy.

The children are in perfect health. The underwriting review should probably have taken 15 minutes (if the person was doing it at a leisurely pace and talking on the phone to her mother). The company is the same company that we got our WL 10 pay from. Since we just finished paying the 10 pay off, we got them VUL's.

The reasons I am getting so anxious, well, upon application one is excited to get the policy (imagine yourself mail ordering something) and constantly looking forward to the mail. I guess I cannot explain it, best I can say, is that it is turning into aggravation/frustration/annoyance. When I finally get it, it will not be like a cherished item just received, but an attitude of "it is about time;" the luster will have worn off.

There is one other thing. The only reason we went with this company is out of loyalty to our insurance agent. He is our PC agent. We bought our WL 10 pay from him. When the 10 pay was paid off, he called to "congratulate" us. Naturally, I asked him about other policies to include UL's and VUL's. I probably spent 45 minutes talking to him on the phone (he called me at work so I was watching my time, I know for a fact I did not spend more than an hour). He e-mailed illustrations. Fine. He spent time with me, he cannnot inventory his time or ever recoup it. I figured I owed it to him, plus I lead him on that we were interested (which we were). So I figured I owed him out of decency.

So, I do not know if this is an unreasonable amount of time. I know I am fast losing interest (especially after reading this board and realizing that there are far superior products. James always talks about LTC and CI riders, Stibroker about his indexed UL). Airborne1 has made some claims about knowing some great companies where one can reduce the insurance to $1,000 and getting interest free loans after a certain amount of time AND no cancellation penalties after a year. When I say I am losing interest, not in getting it, but in getting this particular product when I am sure there are better out there.


And yes, I did call my agent (captive) up, and he did not in any way think the amount of time unreasonable - - in fact he acted like it was quite normal.

Thanks.

[al3]

Call the agent again and tell him in no uncertain terms that yu want to know the status of your application by the close of business tomorrow. If he won't do it, tell him you will not accept the policy (you have a ten day free-look... well in CA you do... and you can cancel and get a full refund.)

It might help if you told us what company you went with.

Al
http://www.insurancesolutions123.com

[marcircus]

al3,

Thanks for the response. I went with State Farm. I know, they really are a PC company. But, My father has been with this agent, when I got my drivers license, I naturally went to him, when I got married and bought a home, I went to him. So I owe him because he has been very good to us.

It is just that daggone it...there is a fine line between being loyal to someone and being dumb.

The other side of the coin, he may have acted nonchillant with me (or however you spell it) and gotten on the phone right away with underwriting after hanging up on me and started ratling some cages - - who knows.


Yes, we get a 10 day no penalty cancellation here too with VUL's.

Thanks for your reply.

[James]

I agree with your agent, 4-6 weeks for delivery of policies is pretty much norm with most insurance carriers, that is for UL and WL now with a VUL I would expect additional time on average. I would expect the hold up is on the amount and the fact that it is children involved. I wouldn't get upset at all, it the nature of the beast. In no way am I meaning to put down VUL's, they can and do pay off, just stay active on its performance and the adjustable factors and I'm sure it will be a cherish contract in years to come!

[al3]

I believe that State Farm writes all their health with Assurant... so if that is true, you will get a good policy (well... depending on which flavor you chose.)

And if IT is Assurant... they have super-fast underwriting... and on children it should be 24 hours... maybe even online in real time!

Here is my guess. The agent go busy with something else and never submitted the application ... but that's just a guess.

Loyalty is fine, but it MUST be balanced with service. Otherwise you are acting in his best interest and not your own... and that is simply bad "insurance thinking." The agent and policy and carrier must serve YOUR needs, not the other way around (which is why I like Blue Shield in CA because they ANSWER THE DAMN PHONE when it rings!)

Al
http://www.insurancesolutions123.com

[marcircus]

James:

I agree with your agent, 4-6 weeks for delivery of policies is pretty much norm with most insurance carriers, that is for UL and WL now with a VUL I would expect additional time on average.

Thanks alot.

Al3:

[/quote]I believe that State Farm writes all their health with Assurant... so if that is true, you will get a good policy (well... depending on which flavor you chose.)

And if IT is Assurant... they have super-fast underwriting... and on children it should be 24 hours... maybe even online in real time!

I ofcourse could be wrong, but I think they do their own life (they use Phoenix for tough cases).

Thank you for the answers. It is just that I was getting so anxious every time I got home to check the mail.

I really appreciate the help from both of you. Thanks!

[NHB_MMA]

Most agents where I'm at will say somewhere between 1 and 4 weeks. I'm sure every now and then a case takes longer.

I've heard stories of 3 months or so from some companies and that is inexcusable. State Farm shouldn't be bad in that regard. I would give it a little more time, as anything within a month should be reasonable.

[al3]

Originally Posted by NHB_MMA

Most agents where I'm at will say somewhere between 1 and 4 weeks.

On a clean case it should be closer to 1 week and not 4 with most carriers.

I just wrote myself (age 59) with an HSA with Blue Shield of CA, did it online at 10 pm on a Monday night. I got an email of approval on Thursday morning. They don't know I'm an agent (their applications does not even ask occupation if I remember correctly.) I got no special treatment TTBOMK.

I think John P. has had cases with Assurant approved in hours.

Why you have not heard in 3 weeks is a mystery to me.... unless they are getting med. records from your doctor... and I'm told that usually they inform you of that.... they will if your agent calls in for a status report on your app.

Al
http://www.insurancesolutions123.com

[James]

Originally Posted by al3

On a clean case it should be closer to 1 week and not 4 with most carriers.

I just wrote myself (age 59) with an HSA with Blue Shield of CA, did it online at 10 pm on a Monday night. I got an email of approval on Thursday morning. They don't know I'm an agent (their applications does not even ask occupation if I remember correctly.) I got no special treatment TTBOMK.

I think John P. has had cases with Assurant approved in hours.

Why you have not heard in 3 weeks is a mystery to me.... unless they are getting med. records from your doctor... and I'm told that usually they inform you of that.... they will if your agent calls in for a status report on your app.

Al
http://www.insurancesolutions123.com

You do understand that we are talking a life contract not a health contract?

[al3]

Originally Posted by James

You do understand that we are talking a life contract not a health contract?

NO I DID NOT! I must be the dumbest guy here.

All this time I thought you were talking health care.

Maybe I need new glasses!

Man, do I feel stupid.

Well that's it for me. I can't do any more cold calling today. I'm going to play golf... where you can feel stupid and not care because EVERYONE hits a few into the woods each round.

Al

[STIBROKER@AUSTIN.RR.COM]

Originally Posted by al3

NO I DID NOT! I must be the dumbest guy here.

All this time I thought you were talking health care.

Maybe I need new glasses!

Man, do I feel stupid.

Well that's it for me. I can't do any more cold calling today. I'm going to play golf... where you can feel stupid and not care because EVERYONE hits a few into the woods each round.

Al

Al yer killing me.......

[James]

Originally Posted by al3

NO I DID NOT! I must be the dumbest guy here.

All this time I thought you were talking health care.

Maybe I need new glasses!

Man, do I feel stupid.

Well that's it for me. I can't do any more cold calling today. I'm going to play golf... where you can feel stupid and not care because EVERYONE hits a few into the woods each round.

Al

Well you know they rather you hit it in the woods as oppose to hitting the cars! Oh well you do the best you can.

[marcircus]

James, when you wrote this, I wondered what the heck being a VUL had anything to do with it:

I agree with your agent, 4-6 weeks for delivery of policies is pretty much norm with most insurance carriers, that is for UL and WL now with a VUL I would expect additional time on average.

Thanks alot. I was thinking about this and what the heck relevance this had to anything and then it dawned on me - - in addition to underwriting review, they probably have to have it reviewed for "investor suitability," or something. I know I answered about 4 or 5 questions on how much liquid assets I had, long term assets, income, savings and also had to complete a 4 question questionnaire on investment aggressiveness. So now I guess I can see where there might be more to it than meets the eye.

Thanks again James

[James]

Originally Posted by marcircus

James, when you wrote this, I wondered what the heck being a VUL had anything to do with it:

Thanks alot. I was thinking about this and what the heck relevance this had to anything and then it dawned on me - - in addition to underwriting review, they probably have to have it reviewed for "investor suitability," or something. I know I answered about 4 or 5 questions on how much liquid assets I had, long term assets, income, savings and also had to complete a 4 question questionnaire on investment aggressiveness. So now I guess I can see where there might be more to it than meets the eye.

Thanks again James

More than likely there is multiple offices (Underwriters and Financial types) that have to deal with this and since these are children I suspect they are being extra careful or conservative in calling obvious judgements. Yet I would suspect since you have a long relationship with this agent he might of taken some of this for granted. I wouldn't get mad but just wait a little and when you do sit down with him explain to him nicely that you still want more attention when you ask questions even if they seem mundane. Lets face it, we all take long term relations for granted at time, that isn't nothing to get upset about but let him know that in the future you expect better, shouldn't be a problem for him or you. Once again State Farm is a great company with a rich history of service and I'm sure in years to come they will come thru on their promises even though we hope nothing like that happens.

[James]

Plus make sure you are recieving all of the Loyalty Discount on your car and home insurance and whatever else you may have with State Farm. I'm pretty sure they have such programs and often overlook if you buy one product at a time over xx amount of years.

[marcircus]

James,

Thanks for your input.

Thanks for keeping an eye out for me. Yes we have multi policy and multi car discounts.

Lets face it, we all take long term relations for granted at time, that isn't nothing to get upset about but let him know that in the future you expect better, shouldn't be a problem for him or you.

I know exactly what you mean. People end up taking people for granted. No, not him. In fact I would really hate to even ask what the holdup was because he is so very dedicated and committed. He would be heartbroken if in any way he even minutely perceived I thought it was attributable to him. He really is a great agent.